NOT FOR RELEASE, DISTRIBUTION OR PUBLICATION, IN WHOLE OR IN PART, IN OR INTO THE UNITED STATES
*****

Guernsey, 22 February 2017
AXA IM has published the Volta Finance Limited (the "Company" or "Volta Finance" or "Volta") monthly report for January. The full report is attached to this release and is available on Volta's website (www.voltafinance.com).

PERFORMANCE AND PORTFOLIO ACTIVITY
In January, Volta's Estimated NAV* performance was 1.3%, in line with a positive performance in most credit and equity markets.

During the month, Volta purchased just one position (a USD CLO Debt tranche) for the equivalent of €1.1m and received the equivalent of €18.4m from four assets that were maturing or called. On average, and based on standard market assumptions, the purchase was executed with an average expected yield close to 10%.

We also committed $20m to a vehicle that has been set up to support one global CLO manager in issuing US and European CLOs in compliance with retention rules (a Capitalized Manager Vehicle or "CMV"). Over several years this position will give us access to a portfolio of CLO equity positions from this manager with favourable terms. It is expected that the total commitment amount will be deployed within 3 to 4 years depending on CLO market activity. We expect this investment to deliver a mid-teen IRR performance.

At the end of January 2017, Volta's Estimated NAV* was €310.8m or €8.50 per share. The GAV stood at €356.2m.

In January, mark-to-market variations** of Volta's asset classes were: -0.4% for Synthetic Corporate Credit deals; +1.8% for CLO Equity tranches; +4% for CLO Debt tranches, -0.9% for Cash Corporate Credit deals; and +0.2% for ABS.

During January, Volta generated the equivalent of €6.0m in interest and coupons net of repo costs (non-euro amounts translated into euro using end-of-month cross currency rates). This brings the total cash amount generated during the last six months in terms of interest and coupons to €16.6m.

Cash holdings or cash equivalent instruments at the end of January totaled €41.4m and we expect to invest in some recent transactions, including some Bank Balance Sheet transactions and a CLO warehouse, in the coming months. The current level of cash is higher than usual but reflects our view that credit markets are now quite fully valued and better opportunities will arise in due course.

Contrary to previous months, the US Dollar depreciated somewhat against the Euro in January which has been slightly detrimental to Volta. US Dollar exposure was approximately 26%.

As noted in previous commentaries, we believe that the addition of duration to the portfolio via government bond exposure can provide a good hedge against further potential economic disappointments, providing that the exposure is built at prudent yield levels. In November and December 2016 we added some duration to Volta through exposure to the US 5YR Note Future, with duration peaking at around 1.5 years. Following the recent rally in Treasuries we have partially taken profits on this position and at the end of January the duration overlay represented a modest 0.4 year of duration.

We continue to see opportunities in several structured credit sectors including mezzanine and equity tranches of CLOs and Bank Balance Sheet transactions. We also expect to utilise CLO warehouse exposure as a way to access CLO equity positions with better economic terms.

* It should be noted that approximately 10.5% of Volta's GAV comprises investments in funds for which the relevant NAVs as at the month-end date are normally available only after Volta's NAV has already been published. Volta's policy is to publish its own NAV on as timely a basis as possible in order to provide shareholders with Volta's appropriately up-to-date NAV information. Consequently, such investments in funds are valued using the most recently available NAV for each fund. The most recently available fund NAV was as at: 30 September 2016 for 0.9% of Volta's GAV and as at 31 December 2016 for 9.6% of Volta's GAV

** "Mark-to-market variation" is calculated as the Dietz-performance of the assets in each bucket, taking into account the Mark-to-Market of the assets at month-end, payments received from the assets over the period, and ignoring changes in cross currency rates. Nevertheless, some residual currency effects could impact the aggregate value of the portfolio when aggregating each bucket.